Within his newly released autobiography, titled Ithaki, the former leader Alexis Tsipras pulls no punches while he revisits the turbulent period of Greece's financial crisis.
An Unconventional Choice
In Tsipras's version, Tsipras selected that unorthodox economist Varoufakis as his finance minister mainly because of the latter's worldwide fame along with Varoufakis's very persuasive skills as a speaker.
“He was, truthfully, more of a personality and less of an economist,” recalled Tsipras.
Clashing Priorities
The former leader alleges that his finance chief possessed a personal agenda that included advancing Varoufakis's publications and experimenting with his economic models on Greece instead of genuinely fighting for the country's economic stability.
He explained how the discussions to stave off bankruptcy became “not just a method to secure improved terms for the country. They were an experiment, an historic chance to prove the truth of his economic theories.”
High-Stakes Negotiations
Amid volatile discussions, the country found itself dangerously close to leaving the single currency area.
On the line was not only the country's destiny but also those harsh austerity policies demanded in exchange for financial aid from international creditors.
Unsuccessful Alternatives
Efforts to find funds elsewhere, including an urgent appeal to Russia to purchase Greek bonds, fell on stony ground.
Helping Greece was tantamount to throwing money in the trash-can, the Russian leader reportedly informed his Greek counterpart during their meeting.
Public Vote and U-Turn
In July 2015, those harsh conditions were put to a public vote, an action which threw the EU into a further existential crisis.
Although the vote was carried resoundingly by voters who opposed austerity, Tsipras had little option to ignore the result and agree to a rescue deal with creditors that turned out to be tougher.
Final Straw
Tsipras claimed that he began to doubt Varoufakis relatively soon.
“He was the public image of negotiation, the man who attracted publicity, who graced the front pages of publications globally … it seemed he relished his new role.”
After Varoufakis proposed a backup strategy that included creating a secondary currency and issuing coupons to pensioners, the leader knew that it was the end questioning Varoufakis: “Are you serious?”
Lasting Criticism
In the book, Tsipras concludes that his former ally had proved himself “unsuitable for a deal that required complex and sensitive handling.”
Tsipras further wrote that Varoufakis's aggressive approach made him more and more alone among peers, put Greece at risk, while assisted hardliners who were pushing for a Greek exit from the euro.
The account of history has provoked anger along with stunned disbelief in some quarters, whereas Varoufakis has so far kept a deafening silence on the matter.
